A global shortage of transformers is emerging as a major challenge for the energy transition, power grid expansion and the booming data center industry. Demand is rising sharply as countries electrify transport, expand renewable energy capacity and invest billions in modern electricity infrastructure.
 
Manufacturers such as Siemens Energy are increasing production to keep pace, but delivery times have stretched dramatically as orders surge worldwide. Industry experts warn that shortages could slow the rollout of wind and solar projects, while growing competition for critical equipment is reshaping global supply chains. With China dominating much of the world's transformer production and Western companies racing to expand capacity, a key question is whether supply can keep up with demand in the years ahead.